Insuritas Announces Completion of $10 Million Capital Raise - Capital Infusion Will Drive Technology Development & Client Acquisition -
EAST WINDSOR, Conn., Aug. 7, 2012 /PRNewswire/ -- Insuritas® announced today that it has successfully completed a $10 million capital raise. Kevin McCormick, CFO noted that this is the first capital raise for the company since it was repurchased from Jack Henry & Associates, Inc. (NASDAQ: JKHY) in a management buy-out in 2008.
According to McCormick; "The convergence of shifting insurance purchasing trends, online/mobile banking, the consolidation of the independent insurance agency distribution system and the regulatory and economic upheaval that has savaged fee income sources for financial institutions nationally has created a unique opportunity to scale the Insuritas model." McCormick noted, "We concluded that the Insuritas turn-key insurance agency solution, with our national agency call center, our Quantum Agency platform that links our agency operations into financial institution core systems, and our newest technology, LoanINSURE®, that automatically generates competing quotes from multiple carriers as part of a loan transaction, are proving to be a required solution for financial institutions nationally."
Jeffrey Chesky, Founder and CEO of Insuritas, noted; "It has always been our goal to provide financial institutions with a turn-key insurance agency that they could own and would feature complete systems integration. The success of our unique tools to allow depositors to shop, compare and buy insurance online or over the phone while they bank and borrow is radically changing the economics of insurance distribution. Insuritas has positioned financial institutions to emerge as dominant distributors of these increasingly commoditized products, and this infusion of growth capital will allow us to scale our solution into over 300 financial institutions over the next 36 months."
Chesky concluded, "We were overwhelmed with the response to our capital raise, completing the process in just 90 days. In the weeks ahead we will expand our management team, our corporate sales team, and our operations and technology staffs to handle the increased demand loads from adding new clients nationally."
Insuritas enables banks and credit unions to own a complete insurance agency solution without the significant capital investments required to build or buy an agency, or the inherent operational risks. Through a cost-effective outsourcing service, financial institutions leverage Insuritas' proven, end-to-end insurance agency solution. Insuritas is located in East Windsor CT. Additional information is available at www.insuritas.com.